Musk Threatens to Launch a New Party, Defeat Republicans in the Primaries, and Campaign Against the Budget

Elon Musk has once again spoken out against the Trump administration’s flagship bill, which would dramatically increase federal spending. His series of posts on X came as the Senate held a voting marathon, attempting to push the bill through before July 4. Musk called the legislation "insane" and declared that if it passed, he would launch his own political party—the America Party.

In follow-up posts, Musk demanded that lawmakers who supported the initiative "hang their heads in shame," and warned: "They will lose their primaries next year, even if it’s the last thing I do on this Earth." He argued the country needs an alternative to the "Demo-Republican uniparty" so that "the people actually have a voice."

Donald Trump responded on Tuesday morning, noting that Musk’s own businesses had long relied on government support: "He may have received more subsidies than anyone in history." The former president also quipped that Dogecoin—the cryptocurrency Musk once promoted—might want to "take a closer look" at the billionaire’s government contracts.

The idea of launching a new party is not new. In early June, Musk had already floated it in a poll to his followers after a series of posts criticizing Trump—some of which he later softened. However, the push to pass the new spending package, which is expected to raise the national debt by over $3 trillion, appears to have escalated the conflict.

At one point, Musk and Trump appeared closely aligned. The Tesla and SpaceX CEO had visited the White House and publicly supported deregulation. But as the new election cycle began, with the rollback of EV subsidies and shifts within the Republican coalition, their positions began to diverge. Musk has grown increasingly vocal about federal spending and the perceived lack of distinction between the two major parties.

The White House chose not to escalate the dispute, instead pointing to Trump’s recent Fox News interview, where he said: "Elon is a terrific guy. He’ll always land on his feet. He’s smart." Still, the clash appears to reflect more than personal ambition—it signals a broader shift within the right, marked by growing discontent with political elites, anti-bureaucratic sentiment, and the search for a new political language to engage voters who no longer trust either Democrats or Republicans.